Identifying Economic and Regulatory Opportunities

Economic Trends

1. Theft of U.S. technology adds strain to domestic economy.

• Found at: https://www.theguardian.com/world/2020/feb/06/china-technology-theft-fbi-biggest-threat
• I believe an opportunity exists in this situation based on the metric they give of about $300-600 billion dollars being lost annually to Chinese theft. The article suggests that Chinese interests exploit the open access college students have to university research by sending proxy students to the U.S. and report back with stolen information. Perhaps a more stringent authentication system for research access could be set up, or a system that tracks the movement of university research to expose information leaks.
• The prototypical customer in this case would be the federal government, who wishes to prevent this unlawful information theft and aid the national economy, or even U.S. colleges, as their research becomes profitable when patented.
• I think this opportunity would be difficult to exploit because selling something to a public university or to the federal government requires a large upfront time commitment before revenue is earned, but if possible this would likely be extremely profitable and a consistent stream of revenue from a government contract.
• I think I see this opportunity more than others because I attend a public university, and growing up in a generation where internet is ubiquitous I understand that information and privacy can almost instantly be lost if not guarded correctly. Perhaps that would lend me a unique lens to understand how research information leaks can be lessened.

2. Weekly mortgage refinancing jumps as interest rates drop.

• Found at: https://www.cnbc.com/2020/02/05/weekly-mortgage-refinance-applications-jump-15percent.html
• I believe an opportunity exists here because the article shows that mortgage rates can fluctuate on a weekly basis, but often shift dramatically over longer periods. Since mortgages are such a big financial decision for prospective homeowners, it is critical that they receive the best rate for their home, so informing buyers when rates drop could be a very useful service.
• The prototypical buyer in this case would likely be a individual in their 30s who is starting to earn a decent salary and is looking for a good deal on a more permanent living arrangement, but realistically it could be anyone wanting to get a mortgage for the best deal (i.e. not renters or ultra-rich people).
• I think this opportunity would not be difficult to exploit, as I think an application that simply compares the current mortgage rates available to past weeks, months and years, and assimilates this data to determine if it is a good time to buy or not could solve this problem with little upfront cost or on-going production costs.
• I think I am more cognizant of this problem because my parents bought their home right before the housing bubble burst in 2008, which meant they severely overpaid for the house they bought. This has taught me that home buying is not something you step into lightly, and that any purchase should come after serious consideration of the right time to buy and what makes budgetary sense.

Regulatory Trends

1. President Trump removes regulatory procedures for infrastructure projects to streamline development.

• Found at: https://www.whitehouse.gov/presidential-actions/executive-order-expediting-environmental-reviews-approvals-high-priority-infrastructure-projects/
• Since Trump is making it less difficult to get commissions for infrastructure projects, there is a clear opportunity to develop infrastructure plans and market them to the federal government, as it's easier than ever to get approval. However, there is an additional opportunity to present the government with some kind of system to sort infrastructure requests and make the process of commission selection easier for the agency in charge, responding to the inevitable uptick in infrastructure projects.
• The prototypical customer in this case is the federal government, specifically the agency that deals with infrastructure development and project commissioning to that end.
• I think this would be a difficult opportunity to act upon, specifically because the federal government is a hard customer to sell to, with numerous competitors and a long approval process. However, most government contracts or commissions are highly lucrative and offer dependable revenue, important factors in establishing a viable business.
• I think I would be more apt to tackle this problem than most people since my hometown has been trying to upgrade its main infrastructure for years and new construction has been shoddy and unhelpful to improving the flow of traffic. I think if I were designing a system to sort infrastructure assignments, I could prioritize completion deadlines with clawbacks for poor build quality and tardiness.

2. President Trump creates a task force to suggest laws for public safety.

• Found at: https://www.whitehouse.gov/presidential-actions/presidential-executive-order-task-force-crime-reduction-public-safety/
• With this new committee to suggest public safety legislation on a yearly basis, there is a clear need by the federal government for new ideas on how to protect U.S. citizens more effectively. Perhaps an independent group of legal scholars that markets new safety laws to this task force could be formed, operating on a commission basis.
• The prototypical customer in this case is again the U.S. federal government, but specifically the task force established to research and present new safety laws to the executive head. Resources allocated to this force would be the source of revenue for an independent advising group.
• I think this opportunity would be difficult, mainly because the federal government is difficult to market to, and requires years of investment before a contract is created. Also, there is no clear provision for an independent advising group in this executive order, so part of the difficulty would be to convince the executive branch that they would benefit from this service when they did not explicitly say they wanted it.
• I think I see this particular solution to the problem where someone else may see different because I believe outsourcing in the private market can often lead to a more efficient solution, given that the desires of the business and the government align. Thus, outsourcing this government need may be more beneficial to the government and the American public than would an internal research system.